The European Commission feels a "strong sense of urgency" to make swift decisions about the future of the European steel industry, two senior figures said during a visit to a steel plant in Ghent.
The challenging situation of the European steel industry industry, and in particular ArcelorMittal's plant in Ghent, is forcing the new European Commission to take important decisions on Europe's industrial policy.
During Tuesday's visit, Prime Minister De Croo was joined by European Commissioners for both the climate transition and industrial strategy, Spain's Teresa Ribera and France's Stéphane Séjourné.
Speaking to reports, Ribera stated that she aims to accelerate the Clean Industrial Deal, a European plan that she promises will be ready within 100 days.
In Ghent, a significant climate investment is on the line — the shift from traditional blast furnaces to electric ones with a Direct Reduced Iron (DRI) installation. However, the international leadership of the steel giant is currently uninterested in the investment, which amounts to over €2 billion.
Group picture at a visit of the new European Commission Vice-Presidents Ribera and Sejourne, to ArcelorMittal Belgium in preparation for the Clean Industrial Deal in Ghent, on Tuesday 03 December 2024. Credit: Belga / Kurt Desplenter
Electric furnaces
"The European Commission has to take some important decisions for the Ghent steel plant and the European steel industry in general," Flemish Minister-President Diependaele (N-VA) said on Tuesday.
"Nobody is asking today to be less ambitious in the fight against climate change," Diependaele said. "But make sure it is compatible with Europe's prosperity and the position of our industry."
ArcelorMittal's Ghent plant is a global pioneer in experimenting with green projects. CO2 is captured and reused there, for example. But an investment of over €2 billion to replace coal-fired blast furnaces with electric furnaces and a so-called ‘DRI installation’ will not get the green light for the time being.
Work has been going on behind the scenes for years on a framework to strengthen the steel industry in our country and the rest of Europe. The industry needs to become more sustainable, but competing with cheap imports is unfeasible.
